Introduction :: BRAZIL

Following more than three centuries under Portuguese rule, Brazil gained its independence in 1822, maintaining a monarchical system of government until the abolition of slavery in 1888 and the subsequent proclamation of a republic by the military in 1889. Brazilian coffee exporters politically dominated the country until populist leader Getulio VARGAS rose to power in 1930. By far the largest and most populous country in South America, Brazil underwent more than a half century of populist and military government until 1985, when the military regime peacefully ceded power to civilian rulers. Brazil continues to pursue industrial and agricultural growth and development of its interior. Having successfully weathered a period of global financial difficulty in the late 20th century, Brazil was seen as one of the world’s strongest emerging markets and a contributor to global growth. The awarding of the 2014 FIFA World Cup and 2016 Summer Olympic Games, the first ever to be held in South America, was seen as symbolic of the country’s rise. However, since about 2013, Brazil has been plagued by a shrinking economy, growing unemployment, and rising inflation. Political scandal resulted in the impeachment of President Dilma ROUSSEFF in May 2016, a conviction that was upheld by the Senate in August 2016; her vice president, Michel TEMER, will serve as president until 2018, completing her second term.

deforestation in Amazon Basin destroys the habitat and endangers a multitude of plant and animal species indigenous to the area; there is a lucrative illegal wildlife trade; air and water pollution in Rio de Janeiro, Sao Paulo, and several other large cities; land degradation and water pollution caused by improper mining activities; wetland degradation; severe oil spills

largest country in South America and in the Southern Hemisphere; shares common boundaries with every South American country except Chile and Ecuador; most of the Pantanal, the world's largest tropical wetland, extends through the west central part of the country; shares Iguazu Falls, the world's largest waterfalls system, with Argentina

Brazil's rapid fertility decline since the 1960s is the main factor behind the country's slowing population growth rate, aging population, and fast-paced demographic transition. Brasilia has not taken full advantage of its large working-age population to develop its human capital and strengthen its social and economic institutions but is funding a study abroad program to bring advanced skills back to the country. The current favorable age structure will begin to shift around 2025, with the labor force shrinking and the elderly starting to compose an increasing share of the total population. Well-funded public pensions have nearly wiped out poverty among the elderly, and Bolsa Familia and other social programs have lifted tens of millions out of poverty. More than half of Brazil's population is considered middle class, but poverty and income inequality levels remain high; the Northeast, North, and Center-West, women, and black, mixed race, and indigenous populations are disproportionately affected. Disparities in opportunities foster social exclusion and contribute to Brazil's high crime rate, particularly violent crime in cities and favelas (slums).

Brazil has traditionally been a net recipient of immigrants, with its southeast being the prime destination. After the importation of African slaves was outlawed in the mid-19th century, Brazil sought Europeans (Italians, Portuguese, Spaniards, and Germans) and later Asians (Japanese) to work in agriculture, especially coffee cultivation. Recent immigrants come mainly from Argentina, Chile, and Andean countries (many are unskilled illegal migrants) or are returning Brazilian nationals. Since Brazil's economic downturn in the 1980s, emigration to the United States, Europe, and Japan has been rising but is negligible relative to Brazil's total population. The majority of these emigrants are well-educated and middle-class. Fewer Brazilian peasants are emigrating to neighboring countries to take up agricultural work.

note: active local transmission of Zika virus by Aedes species mosquitoes has been identified in this country (as of August 2016); it poses an important risk (a large number of cases possible) among US citizens if bitten by an infective mosquito; other less common ways to get Zika are through sex, via blood transfusion, or during pregnancy, in which the pregnant woman passes Zika virus to her fetus (2016)

chief of state: President Michel Miguel Elias TEMER Lulia (since 31 August 2016); Vice President (vacant); note - the president is both chief of state and head of government

head of government: President Michel Miguel Elias TEMER Lulia (since 31 August 2016); Vice President (vacant)

cabinet: Cabinet appointed by the president

elections/appointments: president and vice president directly elected on the same ballot by absolute majority popular vote in 2 rounds if needed for a single 4-year term (eligible for a second term); election last held on 5 October 2014 with runoff on 26 October 2014 (next to be held in October 2018)

note: on 12 May 2016, Brazil's Senate voted to hold an impeachment trial of President Dilma ROUSSEFF, who was then suspended from her executive duties; Vice President Michel TEMER then took over as acting president; on 31 August 2016 the Senate voted 61-20 in favor of conviction and her removal from office; TEMER will now serve as president for the remainder of ROUSSEFF's term until 1 January 2019

description: bicameral National Congress or Congresso Nacional consists of the Federal Senate or Senado Federal (81 seats; 3 members each from 26 states and 3 from the federal district directly elected in multi-seat constituencies by simple majority vote to serve 8-year terms, with one-third and two-thirds of the membership elected alternately every 4 years) and the Chamber of Deputies or Camara dos Deputados (513 seats; members directly elected in multi-seat constituencies by proportional representation vote to serve 4-year terms)

elections: Federal Senate - last held on 5 October 2014 for one-third of the Senate (next to be held in October 2018 for two-thirds of the Senate); Chamber of Deputies - last held on 5 October 2014 (next to be held in October 2018)

green with a large yellow diamond in the center bearing a blue celestial globe with 27 white five-pointed stars; the globe has a white equatorial band with the motto ORDEM E PROGRESSO (Order and Progress); the current flag was inspired by the banner of the former Empire of Brazil (1822-1889); on the imperial flag, the green represented the House of Braganza of Pedro I, the first Emperor of Brazil, while the yellow stood for the Habsburg Family of his wife; on the modern flag the green represents the forests of the country and the yellow rhombus its mineral wealth (the diamond shape roughly mirrors that of the country); the blue circle and stars, which replaced the coat of arms of the original flag, depict the sky over Rio de Janeiro on the morning of 15 November 1889 - the day the Republic of Brazil was declared; the number of stars has changed with the creation of new states and has risen from an original 21 to the current 27 (one for each state and the Federal District)

note: one of several flags where a prominent component of the design reflects the shape of the country; other such flags are those of Bosnia and Herzegovina, Eritrea, and Vanuatu

Economy :: BRAZIL

Brazil is the eighth-largest economy in the world, but is recovering from a recession in 2015 and 2016 that ranks as the worst in the country’s history. Falling commodity prices reduced export revenues and investment, which weakened the Brazilian real and cut tax revenues. The weaker real made existing public debt, which was largely denominated in foreign currency, more expensive. Lower tax revenues strained the government budget.

Economic reforms proposed in 2016 aim to slow the growth of government spending and reduce barriers to foreign investment. Government spending growth helped to push public debt to 70% of GDP at the end of 2016 up from 50% in 2012. Policies to strengthen Brazil’s workforce and industrial sector, such as local content requirements, may have boosted employment at the expense of investment.

Former President Dilma ROUSSEFF was impeached and convicted in August 2016 for moving funds among government budgets; the economy has also been affected by multiple corruption scandals involving private companies and government officials. Sanctions against the firms involved — some of the largest in Brazil — has limited their business opportunities, producing a ripple effect on associated businesses and contractors. In addition, investment in these companies has declined because of the scandals.

Brazil is a member of the Common Market of the South (Mercosur), a trade bloc including Argentina, Paraguay, Uruguay, and Venezuela. After the Asian and Russian financial crises, Mercosur adopted a protectionist stance to guard against exposure to the volatility of foreign markets. Brazil and its Mercosur partners have pledged to open the bloc to more trade and investment, but changes require approval of all five members, which makes policy adjustments too difficult to enact.

general assessment: good working system including an extensive microwave radio relay system and a domestic satellite system with 64 earth stations

domestic: fixed-line connections have remained relatively stable in recent years and stand at about 20 per 100 persons; less-expensive mobile-cellular technology has been a major driver in expanding telephone service to the lower-income segments of the population with mobile-cellular teledensity roughly 120 per 100 persons

international: country code - 55; landing point for a number of submarine cables, including Americas-1, Americas-2, Atlantis-2, GlobeNet, South America-1, South American Crossing/Latin American Nautilus, and UNISUR that provide direct connectivity to South and Central America, the Caribbean, the US, Africa, and Europe; satellite earth stations - 3 Intelsat (Atlantic Ocean), 1 Inmarsat (Atlantic Ocean region east), connected by microwave relay system to Mercosur Brazilsat B3 satellite earth station (2016)

state-run Radiobras operates a radio and a TV network; more than 1,000 radio stations and more than 100 TV channels operating - mostly privately owned; private media ownership highly concentrated (2007)

18-45 years of age for compulsory military service; conscript service obligation is 10-12 months; 17-45 years of age for voluntary service; an increasing percentage of the ranks are "long-service" volunteer professionals; women were allowed to serve in the armed forces beginning in early 1980s, when the Brazilian Army became the first army in South America to accept women into career ranks; women serve in Navy and Air Force only in Women's Reserve Corps (2012)

Transnational Issues :: BRAZIL

uncontested boundary dispute between Brazil and Uruguay over Braziliera/Brasiliera Island in the Quarai/Cuareim River leaves the tripoint with Argentina in question; smuggling of firearms and narcotics continues to be an issue along the Uruguay-Brazil border; Colombian-organized illegal narcotics and paramilitary activities penetrate Brazil's border region with Venezuela

second-largest consumer of cocaine in the world; illicit producer of cannabis; trace amounts of coca cultivation in the Amazon region, used for domestic consumption; government has a large-scale eradication program to control cannabis; important transshipment country for Bolivian, Colombian, and Peruvian cocaine headed for Europe; also used by traffickers as a way station for narcotics air transshipments between Peru and Colombia; upsurge in drug-related violence and weapons smuggling; important market for Colombian, Bolivian, and Peruvian cocaine; illicit narcotics proceeds are often laundered through the financial system; significant illicit financial activity in the Tri-Border Area